N.Y. Public Authorities Law § 2438: Bond authorization

§ 2438. Bond authorization. (1) The agency shall not issue bonds and

notes in an aggregate principal amount at any one time outstanding

exceeding one billion dollars, excluding tax lien collateralized

securities, special school purpose bonds, special school deficit program

bonds, special program bonds issued to finance the reconstruction,

rehabilitation or renovation of an educational facility pursuant to the

provisions of subdivision (b) of section sixteen of chapter six hundred

five of the laws of two thousand, special program bonds issued to

finance the cost of a project for design, reconstruction or

rehabilitation of a school building pursuant to the provisions of

section fourteen of the city of Syracuse and the board of education of

the city school district of the city of Syracuse cooperative school

reconstruction act, special program bonds issued to finance the cost of

a project for design, construction, reconstruction or rehabilitation of

a school building pursuant to the provisions of section thirteen of the

Yonkers city school district joint schools construction and

modernization act, recovery act bonds, public safety communications

bonds and bonds and notes issued to refund outstanding bonds and notes.

(2) The agency shall not issue special school purpose bonds in an

aggregate principal amount in excess of: for the city of New York, four

hundred thirty-five million dollars; for the city of Buffalo, four

million seven hundred thousand dollars; for the city of Rochester, five

million one hundred thousand dollars; for the city of Syracuse, eight

hundred thousand dollars; and for the city of Yonkers, three hundred

thousand dollars; or the amount of prior year claims that are due and

payable to each such school district of each such special school purpose

municipality pursuant to section thirty-six hundred four of the

education law. Such amount shall exclude bonds issued to fund any debt

service reserve fund, bonds issued to refund such special school purpose

bonds, bonds issued to pay the costs of issuance of such special school

purpose bonds and the amount of bonds that would constitute interest

under the Internal Revenue Code of 1986, as amended. Notwithstanding any

provision of law to the contrary, the special school purpose bonds

issued for the city of New York shall be issued in such principal amount

as will provide funds sufficient to pay interest on such bonds for a

period of at least two years after the date of issuance thereof and such

amount shall be excluded from the limitation contained in this

subdivision.

(3) The agency shall not issue special school deficit program bonds

(a) prior to the time the state comptroller determines the amount of the

accumulated projected deficit of a special school deficit program

district in its general fund at the close of its current fiscal year

ending June thirtieth, two thousand two, including any budget notes and

revenue anticipation notes which may be part of such deficit, as

provided in a chapter of the laws of two thousand two, and (b) in

aggregate principal amount in excess of the lesser of (i) the amount of

such deficit as determined by the state comptroller or (ii) sixteen

million five hundred thousand dollars, excluding bonds to fund any debt

service reserve fund, bonds issued to refund special school deficit

program bonds, bonds issued to pay the costs of issuance of such special

school deficit program bonds and the amount of bonds that would

constitute interest under the Internal Revenue Code of 1986, as amended.

(4) The fixing of the statutory maximum in this section shall not be

construed as constituting a contract between the agency and the holders

of its bonds or notes that additional bonds and notes may not be issued

subsequently by the agency in the event that such statutory maximum

shall subsequently be increased by law.